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MainStreet asks if your home renovation is worth taking on debt
How to Tell If Your Springtime Home Renovation Is Worth Taking on Debt
NEW YORK (MainStreet) — It’s springtime, and besides welcoming back baseball and backyard bumblebees, homeowners are dusting off plans made this winter to renovate their homes. Research from LightStream, the online lending division of SunTrust Bank, shows 57% of U.S. homeowners plan to spend money on home improvement this year.
No problem there, but 30% also plan to use credit cards to pay for the upgrade, up from 9% last year. LightStream also reports an uptick in renovation consumers who will seek a home loan to pay for an upgrade.
Is borrowing a good way to pay for home renovations? SunTrust certainly thinks so.
“With the economy improving, more and more homeowners are deciding to move forward on remodeling projects,” says Todd Nelson, business development officer at LightStream. “Taking the time to consider various financing options such as a home equity loan or personal loan can help make their investments go even further, particularly with today’s low interest rates. For people without equity to leverage, an unsecured home improvement loan can be a great solution.”